DENVER, Jan. 2, 2018 /PRNewswire/ -- Antero Midstream
GP LP (NYSE: AMGP) ("AMGP") today announced increased
long-term distribution targets from 2018 through 2020 as a result
of a reduction in the U.S. federal corporate tax rate.
Increased Long-Term Distribution Targets
AMGP is increasing its long-term distribution per share targets
from 2018 through 2020 as a result of a reduction in the U.S.
federal corporate tax rate from 35% to 21% per the Tax Cuts and
Jobs Act, effective January 1,
2018. As a partnership that has elected to be taxed as a
corporation, AMGP's previously provided distribution per share
targets were based on a U.S. federal corporate tax rate of
approximately 35% and an aggregate effective state and local tax
rate of approximately 3%, net of the federal benefit. AMGP's
updated distribution per share targets are based on the new U.S.
federal corporate tax rate of 21% and an aggregate effective state
and local tax rate of approximately 4%, net of the federal
benefit. AMGP's distribution growth targets through 2020 are
based on Antero Midstream Partners LP's ("Antero Midstream") (NYSE:
AM) compound annual distribution growth target of 28% to 30%
through 2020, which remains unchanged from the targets provided on
February 6, 2017. Additionally,
AMGP's distribution growth targets exclude the impact of any future
debt or equity offerings, acquisitions, or divestitures at either
Antero Midstream or AMGP, consistent with historical practice.
AMGP's distribution per share targets have increased
approximately 20% as compared to previously provided distribution
targets from 2018 through 2020. AMGP's 2017 distribution
guidance of $0.15 to $0.17 per share remains unchanged.
AMGP Long-term
Targets
|
2018
|
|
2019
|
|
2020
|
Updated
Targets
|
Low
|
|
High
|
|
Low
|
|
High
|
|
Low
|
|
High
|
Year-Over-Year
Distribution Growth(1)
|
154%
|
—
|
172%
|
|
63%
|
—
|
65%
|
|
51%
|
—
|
53%
|
AMGP Distributions Per
Share
|
$0.52
|
—
|
$0.55
|
|
$0.84
|
—
|
$0.91
|
|
$1.28
|
—
|
$1.40
|
|
|
|
|
|
|
|
|
|
|
|
|
Previously
Provided Targets
|
|
|
|
|
|
|
|
|
|
|
|
Year-Over-Year
Distribution Growth(1)
|
110%
|
—
|
124%
|
|
63%
|
—
|
65%
|
|
51%
|
—
|
53%
|
AMGP Distributions Per
Share
|
$0.43
|
—
|
$0.46
|
|
$0.70
|
—
|
$0.76
|
|
$1.06
|
—
|
$1.16
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) 2018 represents year-over-year growth compared to
full-year 2017 distributions.
Antero Midstream GP LP is a Delaware limited partnership that owns the
general partner of Antero Midstream and incentive distribution
rights in Antero Midstream.
This release includes "forward-looking statements" within the
meaning of federal securities laws. Such forward-looking statements
are subject to a number of risks and uncertainties, many of which
are beyond AMGP's control. All statements, other than historical
facts, included in this release are forward-looking statements. All
forward-looking statements speak only as of the date of this
release and are based upon a number of assumptions. Although AMGP
believes that the plans, intentions and expectations reflected in
or suggested by the forward-looking statements are reasonable,
there is no assurance that the assumptions underlying these
forward-looking statements will be accurate or the plans,
intentions or expectations expressed herein will be achieved.
Therefore, actual outcomes and results could materially differ from
what is expressed, implied or forecast in such statements. Nothing
in this release is intended to constitute guidance with respect to
Antero Midstream.
AMGP cautions you that these forward-looking statements are
subject to all of the risks and uncertainties, most of which are
difficult to predict and many of which are beyond AMGP's and Antero
Midstream's control, incident to Antero Midstream's business. These
risks include, but are not limited to, Antero Resources
Corporation's ("Antero Resources") expected future growth, Antero
Resources' ability to meet its drilling and development plan,
commodity price volatility, Antero Midstream's ability to execute
its business strategy, competition and government regulations,
actions taken by third-party producers, operators, processors and
transporters, inflation, environmental risks, drilling and
completion and other operating risks, regulatory changes, the
uncertainty inherent in projecting future rates of production, cash
flow and access to capital and the timing of development
expenditures.
For more information, contact Michael
Kennedy – CFO of Antero Midstream GP LP at (303) 357-6782
or mkennedy@anteroresources.com.
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SOURCE Antero Midstream GP LP